The Nigerian government has commenced payment of N2.75 billion compensation to property owners affected by the demolition necessary for the construction of the Lagos-Calabar Coastal Highway spanning from channel 0 to channel 3.
Minister of Works, David Umahi, made this announcement during a stakeholders meeting held in Lagos State on Wednesday. He added that more compensation is expected to be paid in the coming days.
The Lagos-Calabar Coastal Highway project, which is expected to cost a tentative sum of N15.356 trillion, will be completed in eight years. The contractor handling the project, Hitech Construction Company Limited (Hitech), was awarded the contract based on its track record, according to Umahi.
The minister clarified that due process was followed in the award of the contract, and the project was appropriated for in the 2024 Appropriation.
He explained that the project is not a Public-Private Partnership (PPP) but an Engineering, Procurement, Construction plus Finance (EPC+F) project, which involves a commitment of funds from the Federal Government.
Umahi also defended the cost of the project, stating that it was calculated based on the standard carriageway width of 11.55 meters. He added that the project will be completed within eight years, which is the lifespan of the current administration.
The Lagos-Calabar Coastal Highway project aims to improve transportation and economic development in the region. The payment of compensation to affected property owners marks a significant milestone in the project’s progress.
